
\begin{table}[htbp]
\begin{center}
\begin{scriptsize}
\begin{tabular}{l D{.}{.}{4.5} D{.}{.}{4.5} D{.}{.}{4.5} D{.}{.}{4.5}}
\toprule
 & \multicolumn{1}{c}{Democracy IV} & \multicolumn{1}{c}{OutputGap IV} & \multicolumn{1}{c}{Both IV} & \multicolumn{1}{c}{Both IV} \\
\midrule
l.outgap.tdl                              & 0.64^{***}                & 0.64^{***}                & 0.62^{***}                & 0.61^{***}                \\
                                          & (0.01)                    & (0.01)                    & (0.02)                    & (0.02)                    \\
l.outgap.gdp.hamilton                     & 0.00                      & -0.01                     & 0.02                      & 0.01                      \\
                                          & (0.01)                    & (0.03)                    & (0.05)                    & (0.04)                    \\
l.democracy                               & 0.04                      & -0.01                     & 0.03                      & -0.06                     \\
                                          & (0.10)                    & (0.02)                    & (0.10)                    & (0.11)                    \\
l.outgap.gdp.hamilton:l.democracy         & -0.06^{**}                & -0.05^{**}                & -0.14^{*}                 & -0.12^{*}                 \\
                                          & (0.03)                    & (0.03)                    & (0.08)                    & (0.07)                    \\
l.capacity                                &                           &                           &                           & -0.05                     \\
                                          &                           &                           &                           & (0.04)                    \\
l.imports                                 &                           &                           &                           & 0.00^{***}                \\
                                          &                           &                           &                           & (0.00)                    \\
l.exports                                 &                           &                           &                           & -0.00^{**}                \\
                                          &                           &                           &                           & (0.00)                    \\
log(l.pop)                                &                           &                           &                           & 0.05                      \\
                                          &                           &                           &                           & (0.10)                    \\
log(l.gdp.pcap)                           &                           &                           &                           & -0.00                     \\
                                          &                           &                           &                           & (0.07)                    \\
l.elec.cons.pc                            &                           &                           &                           & -0.00                     \\
                                          &                           &                           &                           & (0.00)                    \\
l.pop.density                             &                           &                           &                           & -0.00                     \\
                                          &                           &                           &                           & (0.00)                    \\
\midrule
Democracy Insturment F-stat.:             & \multicolumn{1}{c}{70.25} & \multicolumn{1}{c}{}      & \multicolumn{1}{c}{51.29} & \multicolumn{1}{c}{33.39} \\
Ouput Gap Insturment F-stat.:             & \multicolumn{1}{c}{}      & \multicolumn{1}{c}{34.87} & \multicolumn{1}{c}{28.79} & \multicolumn{1}{c}{31.01} \\
Ouput Gap X Democracy Insturment F-stat.: & 212.05                    & 204.88                    & 38.18                     & 27.97                     \\
Year dummies                              & \multicolumn{1}{c}{Yes}   & \multicolumn{1}{c}{Yes}   & \multicolumn{1}{c}{Yes}   & \multicolumn{1}{c}{Yes}   \\
Country fixed-effects                     & \multicolumn{1}{c}{Yes}   & \multicolumn{1}{c}{Yes}   & \multicolumn{1}{c}{Yes}   & \multicolumn{1}{c}{Yes}   \\
Number of countries                       & 110                       & 110                       & 110                       & 106                       \\
Num. obs.                                 & 3249                      & 3252                      & 3231                      & 2925                      \\
Adj. R$^2$                                & 0.42                      & 0.41                      & 0.39                      & 0.38                      \\
\bottomrule
\multicolumn{5}{l}{\tiny{$^{***}p<0.01$; $^{**}p<0.05$; $^{*}p<0.1$}}
\end{tabular}
\end{scriptsize}
\caption{2SLS Results: Insturmenting for Democracy and GDP Output Gap}
\label{tab:IVtwfe}
\end{center}
\end{table}
